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rantnrave

A Little Help Here Please

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Jones said: “Mortgage restrictions will need to be eased if we are to see any real increases across the market, moving into the early part of 2011.”

in another story, the same chap said graivty will need to be eased to stop people falling over and hurting themselves

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Yes indeed - read all about it on the EA Today site:

http://www.estateage...e=news_features

I've chipped in my tuppence on the forum.

40K Macdonalds shop managers.

I dont think so.

They currently have vacancies for assistant managers @ 18K.

In the US, the Median Wage for a Manager is $35K ....thats about £21K in Uk.

the rates go up as you move up....but the store manager?

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outside london i doubt the average (not manager) estate agent is earning more than 24k at the moment?

I happen to have the 09-10 payroll records for an East Midlands firm of EAs in front of me....out of 16 employees only 3 were on more than 24K. I also happen to know that some of them have gone onto 2-3 day weeks since then due to lack of work....

Edited by Neil D Possitt

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I happen to have the 09-10 payroll records for an East Midlands firm of EAs in front of me....out of 16 employees only 3 were on more than 24K. I also happen to know that some of them have gone onto 2-3 day weeks since then due to lack of work....

I love these type of posts!

So the wideboys who have talked up the market for 20yrs are living off their credit cards on 'borrowed' time too - eh?

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I love these type of posts!

So the wideboys who have talked up the market for 20yrs are living off their credit cards on 'borrowed' time too - eh?

True.

Don't worry the market will be pickup soon as long as they just can keep talking it up, or maybe NOT!

Ah Ah.

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Whoops-a-doopsy...

Looks like they're getting a bit spooked over there...

Posted By H on Monday 15th November 2010 18:37:04

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Get Profile"first time buyer" is a troll from the housepricecrash website, where this topic has been linked to.

He's parroting discredited bear memes full of fallacious misinformation without the faintest idea what any of it actually means, let alone that it's factually incorrect.

Those clowns were already proved wrong when the market didn't tank 50% by x-mas 2008.

Here we are 3 years on, and prices are hovering 10% or so below peak in most places, and already back to peak in some.

Given the intense shortage of housing in this country, the only thing holding back the next boom is the still largely dysfunctional mortgage market.

Methinks they doth protest too much, or the approach is too obvious...

There's some EA tw@t over there called "Jonnie," getting really stiffed by one of his colleagues in the "profession."

Maybe we should just buy some popcorn, and watch and see how that little spat-ette plays out?

:)

B

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Given the intense shortage of housing in this country, the only thing holding back the next boom is the still largely dysfunctional mortgage market.

But with average rents now at all time highs, and housebuilding at record lows, it's only a matter of time before the high yields available draw investment capital back into the market, and then it really is "game on"...

High yields? I'd like to buy somewhere where if rented the rent would cover the mortgage. To buy and live in. Maybe he could sell me one?

Do you think the housing benefit cap will take down rents a peg or two?

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Given the intense shortage of housing in this country, the only thing holding back the next boom is the still largely dysfunctional mortgage market.

But with average rents now at all time highs, and housebuilding at record lows, it's only a matter of time before the high yields available draw investment capital back into the market, and then it really is "game on"...

High yields? I'd like to buy somewhere where if rented the rent would cover the mortgage. To buy and live in. Maybe he could sell me one?

Do you think the housing benefit cap will take down rents a peg or two?

Fascinating, that forum is like re-reading HPC from 2006 - one would almost be forgiven for forgetting that the global financial system virtually melted down in the meantime.

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you can tell how much money people earn roughly in your area when you fill up your car with fuel. look at the previous pump prices. im seeing a lot of £8.00 and £14.00 fuel fill ups.

Do you fill up at the cheapest garage around? If you do chances are others will top up when they are passing, or when they are popping in for food/fags etc, or they want change for a 20 or whatever. I really can't go along with this measure, seems way too random.

I know someone who went to Lakeside in Essex at the weekend, don't know how many car park spaces there are but it was full, it was so full when he got in he turned around and came out again even after all the time to get there and park. Said it would have been impossible. I was in Westfields in London recently and it was also as packed then as it was when it first opened. The idiots clearly aren't in enough debt yet.

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Given the intense shortage of housing in this country, the only thing holding back the next boom is the still largely dysfunctional mortgage market.

But with average rents now at all time highs, and housebuilding at record lows, it's only a matter of time before the high yields available draw investment capital back into the market, and then it really is "game on"...

It fascinates me that 2 people can look at the same thing and both see it completely differently. Polar opposites in reading the facts AND deciding on what is good or bad for all or one of us in a general sense. I'm absolutely convinced i'm right though and he's a complete pillock :P

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It fascinates me that 2 people can look at the same thing and both see it completely differently. Polar opposites in reading the facts AND deciding on what is good or bad for all or one of us in a general sense. I'm absolutely convinced i'm right though and he's a complete pillock :P

+1

By "normal mortgage market" presumably it's not occurred to him that you would also have normal interest rates.

Edit: and what we had for the 5+ years up to 2007 was anything but normal with banks lending 100%+ of the value of the property to anyone willing to lie about their income.

Anyone remember those old "gifted deposit" schemes?

Edited by Goat

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+1

By "normal mortgage market" presumably it's not occurred to him that you would also have normal interest rates.

Edit: and what we had for the 5+ years up to 2007 was anything but normal with banks lending 100%+ of the value of the property to anyone willing to lie about their income.

Anyone remember those old "gifted deposit" schemes?

Exactly, when LIAR LOANS were the norm, the good old days we all want to see again, days that could go on forever :rolleyes:

I once called in to a radio show after they'd had a mortgage expert on saying how crazy the lending had been and her and host chuckled that we won't be seeing that again in a hurry. He then had a property bull on and they kept agreeing that the 2007 house price levels were the norm, as in "how long before we get back to 2007 prices". I phoned in and obviously asked why he expects to get back to a level only made possible by something he'd 10 minutes previously agreed wasn't coming back. And he couldn't put it together, just a total blind spot in his reasoning. Amazing that he was in most respects an intelligent successful person, yet at the same time a full on idiot.

The problem generally though is that an EA only needs small confirmations from some people who don't think houses are over valued, like the occasional well heeled high equity owner who doesn't believe the houses around them are over valued as that would also require them to believe their current house is not worth as much as they want to believe, and these people (and they are also the bank of mum and dad) are the only thing keeping the market from completely standing still. This is to some extent a reality which the EA can touch and feel, the odd HPCer going in and offering 30% under ask will just be a blip on the radar, not indicative of the "real market", the people who come in with aspirations but can't get credit just support his impression that the real market is being hampered by banks not lending like they "should" do. And this EA almost certainly left school post 1995 and has known nothing but boom times and easy credit.

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The problem generally though is that an EA only needs small confirmations from some people who don't think houses are over valued, like the occasional well heeled high equity owner who doesn't believe the houses around them are over valued as that would also require them to believe their current house is not worth as much as they want to believe, and these people (and they are also the bank of mum and dad) are the only thing keeping the market from completely standing still. This is to some extent a reality which the EA can touch and feel, the odd HPCer going in and offering 30% under ask will just be a blip on the radar, not indicative of the "real market", the people who come in with aspirations but can't get credit just support his impression that the real market is being hampered by banks not lending like they "should" do. And this EA almost certainly left school post 1995 and has known nothing but boom times and easy credit.

yup

I think in such a 'concrete' market as housing, where pieces of paper really apply to real tangible big immovable things, it is easy to see why a grasp of the abstract (the changing value and leverage of different pieces of paper in the transaction process) is not always made, and therefore that the very abstact concept of how-many-special-pieces-of-paper the house is worth is essentially lost

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Given the intense shortage of housing in this country, the only thing holding back the next boom is the still largely dysfunctional mortgage market.

But with average rents now at all time highs, and housebuilding at record lows, it's only a matter of time before the high yields available draw investment capital back into the market, and then it really is "game on"...

High yields? I'd like to buy somewhere where if rented the rent would cover the mortgage. To buy and live in. Maybe he could sell me one?

Do you think the housing benefit cap will take down rents a peg or two?

Well I did a little check on one of my target areas, Hemel Hempstead HP1 hertfordshire.

Im no expert but the "LHA calculator" seemed to suggest the max for a one bed flat was £155 presumably this is per week.

By my own attempt at calculations this ends up at £95 per week come April and the 30th percentile ruling.

Seems like a big hit for a landlord to take. Available stock of flats in my search criteria (which is the lower end ot the market ) has doubled since 2007.

If im correct in my understanding and calculations above im surprised there are not a greater number of properties ( ex btl) coming up for sale )

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yup

I think in such a 'concrete' market as housing, where pieces of paper really apply to real tangible big immovable things, it is easy to see why a grasp of the abstract (the changing value and leverage of different pieces of paper in the transaction process) is not always made, and therefore that the very abstract concept of how-many-special-pieces-of-paper the house is worth is essentially lost

strange that people can't reference the value of money to the difficulty of saving it: "wages minus living expenses = bugger all"

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I'm remortgaging at the moment and lending certainly seems a lot tighter.

Currently owe £80k on a £200k valued house (peak £220k).

However we have £50k in savings so are going for an offset deal.

When I put in our incomes (around £70k household) I was told we could borrow a maximum of £160k.

When we took out our original mortgage our combined income was £36k and I'd only been in my new job for 3 months, we were offered up to £180k. When we remortgaged that 2 years later with an income of £45k we were offered £220k!

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I thought "Jay" gave some remarkably constructive insights - and actually improved my opinion of EAs . "Jonnie" also made me chuckle, and I don't have a problem with any of his comments.

Forget hurling abuse at EAs; that's like shooting the metaphorical messenger boy, and I suspect they've got enough difficulties at the moment.

Also interesting to note their reflections on the number of cash buyers out there. Looks like the low interest rate policy is working in terms of propping up the property market. I can't see this lasting forever though; another round of QE might convince bondholders to ditch gilts (though I doubt it, large holders of gilts have, by definition, got laughably small testicles). Also explains the inexorable rise in precious metal spot prices. I wonder what will be the trigger for an interest rate hike shock?

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  • 259 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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